The Trump Administration is continuing to ratchet up economic pressure on China, warning about currency manipulation, adopting tough new rules on investments in U.S. technology and extraditing a Chinese spy accused of stealing American trade secrets.

The pressure seems to be working as China quietly adopted rules to slow the devaluation of its currency, the renminbi, and allowed two foreign companies to buy out their Chinese partners – a key reform demanded by Trump.

At the same time, the Trump Administration released details of its tough new rules for investing in U.S. technology firms. Although they do not apply to any specific country, they were clearly aimed at China’s drive to buy American technology firms.

The U.S. has repeatedly accused China of stealing the intellectual property of American companies. Backing up this charge, a Chinese military spy was extradited from Belgium and appeared in court to face charges of stealing U.S. economic secrets.

These increasing hardline positions toward China followed Vice President Mike Pence’s speech last week attacking China and accusing Beijing of trying to meddle in U.S. elections.

Although it’s hard to draw a direct connection to Trump's pressure, which include tariffs on $260 billion worth of Chinese imports, Beijing seems to be slowly accepting U.S. demands. One key takeaway: the government is allowing two foreign companies, neither American, to take over their joint ventures in China.

I have been a financial journalist for many years, specializing in global economic questions for a variety of publications. I have lived in Asia, Africa and Europe. Foreign trade and its consequences on jobs is a particular interest. I am the winner of the Business Journali...